The Predecessor – Weixin Xiaodian

It all started when WeChat introduced a new feature called 微信小店 in Chinese. We’re not sure what the English name was; it didn’t appear to have one. In any case, you could only use this particular feature if you operated an active WeChat Service Account. Furthermore, WeChat Service Accounts were only available to businesses with a valid license.

Service Accounts are a subset of WeChat official accounts. It differs from the regular public accounts that you subscribe to, which are used to push out Content. Anybody with a Chinese ID can sign up for a public account. Service Accounts are designed to allow you to interact with the brand in a limited way, such as talking to a chatbot, asking inquiries, performing very simple transactions, and so on. You can only publish content a few times each month.

This was the first version of the WeChat Mini Shop and was known as Weixin Xiaodian. Essentially, you could set-up a shop within your Service Account. WeChat Pay was, of course, integrated, and the overall experience was satisfactory. However, the experience was really basic. You couldn’t do anything even remotely complicated, like loyalty cards or coupons, without hiring a developer.

But why would someone use this? Doesn’t appear to be very beneficial, does it? Keep in mind that we’re still talking about 2014. Many of WeChat’s features had not yet been implemented. Most crucially, there were no mini-programs. That wouldn’t happen until January 2017.

The Launch Of Mini Programs

WeChat eventually released a feature that allowed you to update your Service Account WeChat Store directly into a mini program. However, because it was still free, it featured very limited templates and customization options. And if you needed something unique, you could always pay a developer. It wouldn’t be that expensive either, because small applications are a fraction of the cost to build, compared to full-fledged native apps. They were created with this cost in mind.

It was still exclusively for companies to utilise, because you had to qualify for a Service Account first.

The WeStore Is Created

However, WeChat announced in 2020 that it was retiring 微信小店 and launching a new product called the WeStore.

The WeStore is significantly more democratic than Weixin Xiaodian, which was solely open to businesses. You can open a shop on WeStore if you have a Chinese ID card. If you are a company, you can upload your licences and bank account information and open up to 3 stores.

Personal stores can be controlled directly from your smartphone, whilst commercial accounts may be handled from a desktop and allow up to 500 individuals to co-manage the store, with the flexibility to define different access levels for different staff.

The WeStore also enables live streaming, which is a popular trend in China right now, as well as fundamental shop functions such as order management, transaction progress, coupons and promotions, customer service, and so on. Even better, it’s completely free! You don’t have to pay anything except a 0.6% transaction fee for payments. All you have to do is put in your time to set it up and manage it.

In Closing

We won’t know how the WeStore performs for a while because it’s so new. However, it makes a lot of sense for a specific type of merchant. For starters, there is no better deal for a solopreneur starting out than a free WeStore.  Especially if they are currently marketing actively within the WeChat ecosystem and have followers and a community there.

However, unless it becomes far more flexible, the technology as now is unlikely to get any real commercial users. It’s just not as advanced as what Youzan, for example, provides.

For more information about setting up your own WeStore, get in touch with our team at Digital Crew, a WeChat Marketing Agency.

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Ophenia Liang, Director and Co-founder of Digital Crew was recently interviewed by Janice Peterson on Business Australia’s podcast show ‘The Company You Keep’. 

Here’s an article that shares insights from this interview. The article has been pasted from Business Australia’s website.

Trade between Australia and China has exploded over the past several years, but Australian businesses still struggle entering the Chinese market. That’s why Ophenia Lang, co-founded Digital Crew, to help SMEs reach new international markets.

After working in China, India and New Zealand, Ophenia moved to Australia and started Digital Crew where she helps local businesses find a foot in Asian markets.

Ophenia may have had no trouble adjusting to new markets herself, but that doesn’t mean her entire business life has been a walk in the park.

In the episode of The Company You Keep, Ophenia explains the strict criteria for the people she works with. “They have to be multilingual, at least bilingual. Then they have to be digitally savvy. Also, they have to be culturally aware.”

Starting a business in China or even exporting to China is tough work, and Ophenia supports businesses doing that with a team across multiple time zones. One way the team has overcome that challenge is by using rigorous project management software, which the company developed themselves.

For Australian businesses wondering how to export their business or product to China, or just wondering how to do business in China at all, Ophenia offers this advice: don’t go for the biggest cities straight away. “You might go for a second tier or third tier city, where those cities still have like 10 million population… Do your research, it is very important.”

Ophenia has also been able to forge some important networking relationships through Business Australia’s events and awards program, which goes to show: starting a business in China might be about people as much as it is about their product.

About Digital Crew

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Rachel Akuffo interviews Ophenia Liang on women’s purchasing power and the way it has been shaping China’s economy this morning at 8 am (Washington DC) on CGTN Global Business News. Ophenia shared information about China’s economy from the soon to be released ABC Index by Digital Crew.

So give us an idea on how women’s purchasing power in China is changing as the middle class grows and the country continues to open up? 

China has one of the highest employment participation rates from women in the world and in terms of women in management, the ratio is higher than in Western countries. Some domestic companies or government agencies have as high as 50 – 60% of women in management which explains the large buying power than they did 5-10 years ago.

It also seems that when you have women in one of these decision-making positions, the end product is catering to women consumers. Tell us more about why it’s important to have women in those positions?

Yes Absolutely. According to our first-hand research undertaken by Monash University and backed by Digital Crew, it was observed that Chinese women consider foreign brands particularly in the wine and tourism segment from Australia and America which is surprisingly different as opposed to their male counterparts.

So what are the industries that benefit the most from female consumption in China?

With the high employment rate and ever-increasing consumption power, they take decisions in their households. In terms of consumption, they now prefer patronising quality foreign brands that help them portray a professional front, especially in the wine and tourism categories. The consumption patterns are further divided into Tier 1 and Tier 2 cities. Women from Tier one cities consume the finer things from the wine and luxury categories, while women from tier 2 and 3 cities consume fast-moving goods and beverage.

So especially given the role of women as decision-makers not just in companies, but also in families, how valuable is a women’s contribution to China’s economy overall?

Its absolutely phenomenal how they are the key decision makers in household consumption, not only with cars but also daily consumption, travel decision and we find that females are making most of the purchasing decisions including buying properties and travel places. Findings reveal that many foreign brands are already targeting females in particular.

Now we’ve seen some companies, completely misinformed that paint something pink and assume that’s what women want. Has this lack of understanding led women to start their own companies to fill in this gap in the market?

Female consumers in recent decades have become very informed. They are highly educated, most of them have attended college and pursued higher education and are making extremely informed decisions that are backed by strong research. They have become digitally savvy over the years and derive their information from the internet. They read a lot online and connect with brands digitally.

So for some of these older companies that are trying to change their mindset, what is the strategy they can put in place to get into the mind of the modern Chinese female consumer?

Its definitely connecting to consumers digitally through social media and many other digital means. In this digital age, we’ve seen that China has more than 700 million consumers online and more than half of them are purchasing online so it’s imperative that brands adapt online and be present on the e-commerce space. Consumers are also very familiar with mobile payments and the brands that have adapted themselves to this digital sphere complete with mobile payments have been more successful in China.

What’s your outlook in terms of growth of the female consumption market in China?

Any brand serious about China in the long run, certainly need to consider talking to their female consumer seriously and portray themselves as quality professionals that are renowned and trustworthy in order to be successful in China.

The interview raised an important concern with regards to marketing to the modern female consumer and how brands need to understand the ‘Perception’ of their products before venturing into this market.

Stay tuned to the ABC Index report that is soon going to be released by Digital Crew

Download Our E-book for more details About Marketing In China

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These 10 Chinese Startups don’t just circle around AI but are inclusive of care rental and even english learning apps. The number and quality of Chinese startups has dramatically increased over the past decade.

New Patterns of Technology Usage

As countries and regions move from developing to developed, they often skip generations of technology that other, more long-term developed countries spent decades in. For example, we mentioned in our previous blog how people in China use their mobile phones to pay for goods 50 times more often than Americans because credit cards never gained the same penetration they did in the US.

There is a similar trend occurring in many countries in Africa where mobile pay penetration is actually greater than electricity or clean water. China’s population is currently 1.4B people, While a sizable portion of that population still lives in the rural areas of China, this is a population more than 4x as big as the United States. Example – It took bike-sharing company Mobike only 10 months to go from nothing to 20 million rides per day (2017 Report on AI — Stanford).

Here Are The Top 10 Chinese Startups to Watch Out For:

1. Cloudwalk: We’ve already spoken about how China is soon going to be the Godfather of AI in our previous blogs. Cloudwalk is a member of a growing mafia of facial recognition and AI startups, Cloudwalk has raised significant funding from Shunwei Capital, Oriza holdings and Puhua Capital ($75MM) and the government of Guangzhou ($301MM). Cloudwalk has also partnered with the Zimbabwe government to test their technology with a different ethnicity at a very wide scale

2. DaSouChe: The used car trading platform has already exchanged over 500,000 cars since 2012. They are a near unicorn, having raised $180MM in a 2017 Series D round

3. Laidian: Most people in China use their phones to shop, pay bills and taxes. Their battery usually runs out before the end of the day and it can be inconvenient to bring out a heavy power bank with them all the time. It raised $20MM in 2017 Series A. Laidianis the power bank rental startup that provides an alternative for those who cannot charge their mobile phones while they are outside the home and office

4. Tujia: Tujiaprovides services highly tailored to the Chinese audience. It is better known as the ‘Chinese Airbnb’. Their employees manage the check-in and check-out and for any properties served by third parties, Tujia actually has each house inspected (Forbes India). As of Tujia’s Series E round in late 2017, they are valued near $1.5B, but they are hardly a household name outside of China

5. VIPkid: This English language tutoring site is scaling at an incredible pace. VIPKidhad 296,363 students and 38,724 teachers as of 2017 — a sharp rise from the 3,305 students and 404 educators it had just two earlier, according to its investor materials. By 2019, it’s projecting a near 10-fold rise in students to 2.4 million, and more than 280,000 teachers.

6. iCarbonX: The Chinese data company aims to improve health care using artificial intelligence and biotech. Founded in 2015 by Genomicist Jun Wang, the company has become a comprehensive platform for health data, pulling in information from millions of people.

7. DeepGlint: This AI based startup is similar to other AI/ML Chinese startups, DeepGlint has heavily focused on computer vision. However, they’ve been the first of the groups to invest heavily in human behaviour and trajectory analysis. Are you moving slower or faster than the crowd around you? Are you moving in an erratic way? DeepGlint’ssoftware will pick you out of the crowd quickly and identify security to keep an eye on you.  They’ve raised a comparatively small $18MM, but this also makes them highly likely to be a takeover candidate for one of the big AI, eCommerce, or communication companies in China.

8. Liulishuo: Another AI powered English language learning platform and app that offers personalized and adaptive language learning to 50 million users in 379 cities in China and over 175 countries around the world. Liulishuois attacking the same massive English language learning opportunity in China that VIPKid is going after, but in a much more programmatic way.

9. Pico Interactive: Pico developed one of the first high quality, truly wireless VR headsets. No computer, no phone, no tether needed, starting at $599. The headset received strong reviews at CESin early 2018 and is well positioned to be a technology leader in VR. It’s more likely that Pico’s technology is licensed or bought by one of the bigger players in VR like HTC, Facebook, or Playstation, but Pico still has a great opportunity to expand significantly in 2018 and beyond.

10. Roobo: A hardware and AI company, Roobo develops next generation service robots. It’s BeanQ education consumer robot won Best of Red Dot in 2017. Roobocontinues to innovate with a line of robots that extends up into the very large Farnese, which can carry on a conversation, recognize phases, navigate through airports, banks, shopping malls and conference halls.

The post 10 Chinese Startups to Watch Out For In 2019 appeared first on Digital Crew.

Meituan Dianping aka China’s Ubereats is its largest on-demand food delivery firm that also offered bike sharing and ride hailing services initially. The app successfully managed to raise $4.2 billion earlier this year through its initial public offering in Hong Kong.

Meituan currently has about 340 million active users who are able to use the platform to order meals, book hotel rooms and arrange various forms of transport. It combines a range of services with similarities to Groupon, Yelp and UberEats through the 4.7 million merchants that have joined the platform, which in turn allows Meituan to earn its revenue through commissions and delivery fees.

Why Did Meituan Decide To Ditch Bike Sharing & Ride hailing?

In April, Meituan tried to break into the bike-sharing fray that was initially dominated by DiDi Chuxing prior to the passenger murders. It also managed to face off Alibaba-backed Ofo. Over the past few years, Mobike and Ofo were burning through large sums of investor money in a bid to win users from subsidized rider, but both have shown signs of slowing down their ride games.

Overcrowded With Competitors

Mobike is downsizing its fleets to “avoid an oversupply” as the bike-sharing market falters, Meituan’s chief financial officer – Chen Shaohui said during the earning call. Ofo has also scaled back by closing down most of its international operations.

Meituan stated that it has no plans to expand car-hailing beyond its two piloting cities – Shanghai and Nanjing – after venturing into the field to take on DiDi Chuxing last December.

Revenue From Food Delivery Services?

Meituan’s major source of income is from the food delivery business that accounted for 62% of its revenues in 2017. Meituan’s competitors are going all out to lure consumers away with steep discounts in what has effectively become a race to the bottom. Alibaba’s food-delivery unit – Ele.me has set aside hundreds of millions of dollars for cheaper meal access. The ride-sharing giant DiDi Chuxing is also expanding its food-delivery service known as DiDi Foodie, which is now available in four Chinese cities since its beta-launch in April.

Scope For The Food Delivery Market In China

Aside from fending off heavy competition, Meituan also has to spend to attract new users. According to data from the National Bureau of Statistics, the food-delivery market only accounts for less than 10% of China’s total dining market. To grow the market further and get more people to use its app, Meituan has been subsidizing meal purchases so that consumers have greater incentives to go order online.

Route For The Future?

Meituan’s latest filing says that it is currently focused on “expanding our customer base, satisfying unmet customer needs and enhancing our network, rather than prioritizing monetization now.” A spokesperson said that the company has no comment on the pricing of its shares and the investments from Li and Lau.

The post China’s UberEats – Meituan Dianping, Abandons Bike Sharing And Ride Hailing appeared first on Digital Crew.

The Beidou Navigation System, currently serving China and neighbours, will be accessible worldwide by 2020 as part of President Xi Jinping’s strategy to make his country a global leader in next-generation technologies. Its implementation reverberates through the corporate world as makers of semiconductors, electric vehicles and airplanes to also connect with Beidou in order to keep doing business in the second-biggest economy.

China’s Beidou Navigation System Plans For The Future

Assembly of the new constellation is approaching critical mass after the launch of at least 18 satellites this year, including three this month. On 19th November, China launched two more Beidou machines, increasing the number in operation to more than 40. China plans to add 11 more by 2020.

Beidou Predictions

Chinese officials have claimed that Beidou will be over 100 times more accurate than GPS. “It will be a change from 10 metres, to decimetres, to centimetres,” China Satellite Navigation Office director Ran Chengqi told Chinese media. “For example, if we hail a cab with a mobile phone with such accuracy, we don’t need to tell the driver where we stand, because the car will arrive directly at our feet.”

Comparing It To GPS Navigation

By comparison, GPS typically provides accuracies of less than 2.2 metres, which can be improved to a few centimetres with augmentation systems, the commission said. “The Beidou system has become one of the great achievements in China’s 40 years of reform,” Xi said in a letter to a United Nations committee on satellite navigation.

Beidou is one element of China’s ambitious campaign to displace Western dominance in aerospace. A state-owned company is developing planes to replace those from Airbus SE and Boeing Co. and domestic start-ups are building rockets to challenge the commercial-launch businesses of Elon Musk’s Space Exploration Technologies Corp. and Jeff Bezos’s Blue Origin.

To help stay competitive against budding Chinese counterparts, foreign companies are including Beidou compatibility in their products. Qualcomm Inc., the biggest maker of chips used in smartphones, has been supporting Beidou “for a long time”, the San Diego-based company said. Those chip sets also are used in wearables and automobiles.

All In Support Of Beidou

Most smartphones from global sales leader Samsung Electronics Co. support Beidou in addition to GPS, the Suwon, South Korea-based company said, as do handsets from local rivals Huawei Technologies Co. and Xiaomi Corp., according to state media. Huawei is the nation’s top-selling brand.

Satellite Navigation Options

So, how will this impact end users like hikers, Strava athletes, and others? While it’s not totally clear how Beidou will shake up the sat-nav industry for consumers, it could be a boon.

World Leaders’ Opinions

Earlier this month, leading countries convened for the 13th meeting of the United Nations International Committee of Global Navigation Satellite Systems (ICG) in China. Representatives from the U.S., China, Russia, and the EU — which is building the Galileo satellite positioning network, discussed how the systems can work together.

The post China’s Beidou Navigation System With Their $9 Billion Satellite To Overpower U. S’s appeared first on Digital Crew.

Digital Crew At CIIE: The Shanghai National Convention and Exhibition Centre, which is like a huge “four-leaf clover”, became a weather vane for China to open to the world.

China’s first import fair ended on an impressive note,  exceeding all expectations. Digital Crew, the multilingual digital agency was present amidst entities like Facebook, Google and 3600 organisations from 172 countries, with more than 4,00,000 domestic and foreign buyers at the expo. China’s president Xi Jinping and Australia’s trade minister graced the expo with their presence to further encourage a rules-based multilateral trading system that allows for the effective flow of goods and services between Australia and China.

Digital Crew’s general managers Carmen Zhao & Jhin Chan from the Australia and China team hosted the audience at the booth. The multilingual team assisted visitors with enquiries about the global market, trade, wechat and weibo services overseas etc. The visitors interacted with the booth through a digital screen stationed at the venue.

Statistics from the China International Import and Export Expo shows that the first import fair traded a fruitful harvest, with a cumulative figure of $57.83 billion. As a ground-breaking platform for co-operation, the Expo was an important public product that China provided to the world for all countries to benefit. The 60-page list of exhibitors in the Expo had businesses from categories that included services, automotive, smart and high-end equipment, consumer electronics, home appliances, clothing, medical equipment, healthcare, food and agricultural products.

Digital Crew displayed their services alongside major entities like Google & Facebook in the technological services sector as it bridges communication gaps between China and the rest of the world thereby, functioning as a portal for trade and digital development.

President Xi Jinping, at the opening ceremony stated that ‘China’s economic growth over the past 40 years has been achieved with a commitment to opening-up. In the same vein, high-quality development of China’s economy in the future can only be guaranteed with greater openness. I have made it clear once and again that China’s door will never be closed. It will only open still wider. China will not stop its effort to pursue higher-quality opening-up! China will not stop its effort to pursue an open world economy! And China will not stop its effort to pursue a community with a shared future for mankind!’

You can reach the entire speech here -> http://www.xinhuanet.com/english/2018-11/05/c_137583815.htm

‘As a multilingual team, we encourage businesses to grow and expand to countries with massive potential and lend all the support they need through our marketing services for effective communication’ Carmen Zhao, general manager – Digital Crew.

The post Digital Crew At CIIE 2018, An Expo That Welcomed 2,00,000 Global Citizens appeared first on Digital Crew.

The established carmakers namely Tesla, Volkswagen and Porsche have multiple motives. They need zero driving emission vehicles to meet tougher greenhouse gas limits coming into effect in Europe in 2021. Diesel is in the doghouse and China, a major market, is pushing hard for more electric vehicles.

EVs sold in Chinese numbers

China accounts for half of the world’s production and sales of electric cars, according to the research by the non-profit International Council on Clean Transportation (ICCT). The country accounted for 579,000 of the 1.1 million electric vehicles produced globally in 2017, surpassing Europe, Japan and the United states combined.

Government Policies that drive this demand

• The size of China’s vehicle market that is larger than the U.S. is primarily responsible for the surge. China’s government policies are the other contributors towards this consumption of EVs. ‘Policy is the underlying driver for electric vehicle growth around the world.’ The ICCT reported on the subject
• The Chinese government has been at the forefront, driving the switch to new energy vehicles and it also wants to lead and dominate the EV market. In fact, the government wants EVs to account for 12% of overall sales by 2020
• “They want to be leading the change, a bit like autonomous driving,” said Christian Meunier, Infiniti’s vice-president for global sales and marketing, in an interview at the Beijing Auto Show. EVs continue to fall into a niche category range in the U.S.
• The Chinese government understands the benefits of electric vehicles to ease environmental problems and the demand for oil. It has estimated that electric vehicle energy efficiency is 45% better than internal combustion engines

China’s growing economic might & Population

Oil imports in China are growing at an unsustainable rate and the demand for cars is only increasing as the Chinese economic might and population continue to grow. Electric vehicles could be part of the answer – the government is making legislative changes and incentives to favour electric vehicle production and use.

Incentives to own EVs

China is favouring long-range cars, because EV’s with an excess of 400km (249 miles) saw a subsidy increase of 13%. The government provided incentives to owners of EVs in China and recently increased the minimum range for incentives from 100km to 150km owing to the rate of response from the vehicle consumers.

Cost-effective production

• Since most electric cars sold in China are produced by domestic firms they have been able to keep their costs low and are able to price it competitively compared to petrol driven cars
• The most popular range of EVs sold in China are priced between 80,000 to 100,000 yuan, according Toliver Ma, an auto analyst at Guotai Junan Securities in Hong Kong, making it appealing to the country’s cost-conscious buyers

Conclusion

China’s road to becoming the electric vehicle market leader is impressive and not unexpected given the overall rate of economic development the country is experiencing. More importantly, in the years to come, we will get to witness the impact that EV adoption is going to have on the air pollution in China’s heavily populated cities.

The post China Is The Supreme Electric Vehicle Leader In The World – 2018 appeared first on Digital Crew.

The movie ‘Dying To Survive’ hit $451.1 million USD at the box office. After four days of successful previews, worth $48 million, the film was given a maximum push by exhibitors Releasing with 167,000 screenings, it raced off to a soaring $36.1 million, according to data from Ent Group. Later that week, it expanded to 187,000 sessions for $57.8 million, and was followed by $57.2 million from 193,000 screenings.

Why was it such a hit?

The movie highlighted a pressing issue about strict policies on cancer drug imports from India. It took into confidence a strong social issue and broke tradition with its comical take on illegal imports for a good cause.

Dying to survive tells the tale of a health supplements peddler, played by comedic actor Xu Zheng, who smuggles unapproved drugs from India to sell to leukaemia patients for more affordable prices. While Xu’s character initially goes into the trade purely for its lucrativeness, his motives begin to change and become more altruistic as he realizes the significance of his work and the lives he could save. The movie was inspired by a real-life incident in China. In 2015, a man called Lu Yong was charged for importing and selling a cheaper, “knockoff” version of Gleevec, a leukaemia medication. Lu himself suffered from leukaemia and began purchasing Gleevec tablets produced by an Indian pharmaceutical company for other patients who couldn’t afford the “real,” sanctioned drug. The indictment was later quashed after the patients that had benefited from Lu’s actions petitioned the court to lessen the sentence and release him.

How did a film that was based on a very touchy subject get the green light in China?

China’s censors rarely green-light mass releases of films on touchy subjects

But the key villain in Dying To Survive is the pharmaceutical industry, and the Communist Party apparently saw the propaganda value of a movie that portrays the government as responsive on the issue

The government announced earlier this year that it would lift tariffs on many cancer treatments, and the buzz around the film’s release has coincided with yet more changes

In late June, it was announced that dozens of previously-barred imported drugs had been added to national medical insurance

After the release of Dying To Survive rekindled the discussion, China’s drug administration said it also would remove hurdles to foreign generic drugs “to better satisfy the medication need of China’s patients”

Bai Feng, the original prosecutor in Lu’s case, told a government-run news portal after the film came out that Lu’s case helped change government thinking

“It promoted a transition in our concept of justice and the perception of how we enforce the law,” Bai said.

A Shift In China’s Movie Market Is A Sign Of Searing Government Reforms

The movie’s social realist themes also recall a hit Bollywood movie Dangal, a wrestling drama film, which dealt with issues of gender discrimination in sports that went on to become the highest-grossing Bollywood movie in China’s box office history. Critics have noted that the strong box office performances of movies like Dying To Survive and Dangal and the positive reception by movies such as Angels Wear White and Twenty-Two signals a change in China’s movie market, where more domestic movies are embracing the challenge of tackling difficult social issues.

The post Here’s How The Movie ‘Dying To Survive’ Moved Regulations On Cancer Drugs In China appeared first on Digital Crew.